An attempt at reviving the Oil Kings in 1978 lasted only one season, as the juniors were once again unable to compete with the pros. Bill Hunter purchased the Flin Flon Bombers and brought them to Alberta's capital. However, the team only averaged about 500 fans per game, and rumours that the team would again relocate began to swirl before the first season was even complete. The second Oil Kings relocated again to become the Great Falls Americans, where the team would only last 28 more games before folding.

Despite the long held belief that major-junior hockey could not survive against the pros, the WHL returned to Calgary in 1995, and Edmonton in 1996. At the time, the Oilers were struggling on the ice, as well as attendance. The Oilers refused to work with the Edmonton Ice, blocking them from playing in Northlands Coliseum, thus relegating them to the substandard Northlands Agricom. The Ice relocated to Cranbrook, British Columbia, becoming the Kootenay Ice, after two underwhelming seasons.

With the Flames owned Hitmen leading the WHL in attendance the past four seasons, and the Vancouver Giants also proving to be a major success at the gate, the Oilers ownership group had spent the last three years attempting to purchase a WHL team, even going so far as to put out an open offer of $5 million - well over market value - for any WHL franchise in 2004. With no takers, and with the 2004–05 NHL lockout looming, the Oilers chose to relocate their AHL team to Rexall Place as the Edmonton Roadrunners. Despite finishing third in the AHL in attendance, the Oilers suspended the Roadrunners after only one season rather than have their minor league team competing against themselves. The Oilers then resumed their quest for a WHL team.

When the sale of the Tri-City Americans to Chilliwack, British Columbia failed, the WHL placed an expansion team in Chilliwack, and the door for Edmonton was finally reopened. While the league had previously refused to consider further expansion, believing 20 teams was enough, the addition of the Chilliwack Bruins left the league with an odd number of franchises. Preferring an even number of teams, the league announced its return to Edmonton on March 16, 2006 with the granting of a conditional expansion franchise, named the Edmonton Oil Kings in homage to the former franchise.

The team began play in the 2007–08 WHL season and finished with a record of 22–39–11, good for 55 points, but not enough to make the playoffs.